Business News

ECO2 Plastics, Inc. Reports Increased Revenue and Reduced Net Losses in Second Quarter Financial Results

Thursday 07. August 2008 - ECO2 Plastics, Inc., (BULLETIN BOARD: ECOO.OB) , the eco-friendly recycling company that is changing the way plastics are recycled, today announced that it has filed the results of its second quarter operations in a Form 10-Q.

The Company reported increased revenue and reduced net losses:

— Revenues of $1.4 million for the quarter were achieved versus $418,000 during the same period in 2007.

— Revenues for the six months ended June 30th were $2.9 million in 2008 versus $517,000 in 2007.

— Net losses were $3.7 million for the quarter versus $8.4 million during the same period in the prior year, and net losses were $13.0 million for six months ended June 30th versus $15.2 million for the prior year.

— Losses from operations excluding non-cash charges were $2.0 million during the quarter as compared to $2.4 million in the immediately preceding quarter.

“The past quarter has been a period of foundation building. We strengthened our balance sheet, began the construction of proprietary processing equipment necessary for growth and shifted our product mix to a higher value, prime production plastic,” said Rod Rougelot, CEO of ECO2 Plastics. “With the installation of our new processing technology in Q3, the Company expects to be at full capacity in Q4.”